Since 1973 State Bank of India is involved in Community Service Banking. Various personal banking services are provided by SBI. State Bank of India offers education loans to students seeking to continue higher studies. The loan is sanctioned for studies both in India or abroad.

Eligible Criteria for State Bank of India Education Loan:

Student for Education Loan:

The student should have secured admission in a Course run or supported by a Ministry/ Dept./Organisation of the Govt. or a Company/ Society/ Organization supported by National Skill Development Corporation or State Skill Missions/ State Skill Corporations, preferably leading to a Certificate/ Diploma/ Degree, etc. issued by a Govt. Organization or an Organization recognized/ authorized by the Govt. to do so.

Courses Eligible for Getting Loan:

Vocational/ Skill Development Courses of duration from 2 months to 3 years run or supported by a Ministry/ Dept./ Organisation of the Govt. or a Company/ Society/ Organization supported by National Skill Development Corporation or State Skill Missions/ State Skill Corporations, preferably leading to a Certificate/ Diploma/ Degree, etc. issued by a Govt. Organization or an organization recognized/ authorized by the Govt. to do so.

Details of Education Loan:

Exposure of Expenses:

Tuition / Course Fee

Caution deposit

Examination / Library / Laboratory fee

Purchase of books, equipments and instruments

Any other reasonable expenditure found necessary for completion of the Course. (As such courses are localized boarding, lodging may not be necessary. However, wherever it is found necessary, the same could be considered on merits)

Quantum:

For Courses of duration upto 6 months Rs. 50,000/-

For Courses of duration above 6 months Rs. 1,00,000/-

Margin:

NIL

Security:

No security is required for loan up to Rs. 4 lakh

Collateral security in type of guarantee of third party when loan amount is between Rs. 4.0 lakh - Rs. 7.5 lakh.

And when loan amount is greater than Rs.7.5 lakh, collateral security is required with task of student's future income for installment payment. All loans must be secured from guardian or parents and when person is married then co-obligator may be spouse or parents.

Processing Fees:

No any processing fee.

For the educational loan, deposit is of 5000/- rupees for studies abroad and this will be adjusted in margin.

Since the rules, regulations, eligibility conditions, repayments and interests rates etc. are revised by the banks from time to time in keeping pace with the changing capital market conditions, students and parents are advised to thoroughly check the terms and conditions of educational loan scheme on offer at the time of application.